CMC Metals Ltd. provide a review of its exploration activities conducted in the Rancheria Silver District, south-central Yukon and northern British Columbia in 2023 which have also been discussed in the "Hello Investors, August 2023 edition. The Rancheria Silver District in south central Yukon and northern British Columbia is a 130km by 50km area that has the potential to host significant silver-lead-zinc-gold-critical mineral carbonate replacement deposits, vein and skarn deposits. The district is host to the Silvertip Deposit one of the highest- grade underground silver-lead-zinc mines in the world owned by Couer Mining Inc. The district is highly comparable to the highly prolific Coeur d'Alene silver belt in Idaho, USA and therefore became an area of exploration interest to CMC Metals Ltd. CMC historically was active in the Rancheria Silver District with its Silver Hart Property and subsequently since 2020 has acquired additional holdings in the District through option agreements including the Blue Heaven property and in British Columbia the Silverknife Property (immediately adjacent and west of the Silvertip Mine Property) and the Amy Property located eight kilometers to the west of the Silvertip mine.

The focus of 2023 exploration efforts was on the Silverknife Property. A total of 11 diamond drill holes (2,143.6 meters) were completed. Drilling was conducted on two areas of the property namely (i) Tootsee South; and (ii) the Silverknife Prospect.

Tootsee South At Tootsee South, the target was a coincident gravity anomaly that was thought to represent a repeat geological sequence to that of the Silvertip mine area. This area is in a low valley area and is characterized by up to 50 meters or more of glacial till and subsequently there are no exposures of rock outcrops to help further guide drilling efforts. Two drill holes (435.60) meters were drilled and encountered the Cretaceous aged Cassiar granite/granodiorite which intruded the overlying and much older sedimentary sequences including limestones which are prime host rocks for carbonate replacement deposits which is the setting for the Silvertip mine.

The Cassiar granite is an important feature as it provides the heat driver for the mineralizing fluids to intrude into the overlying sediments. Crews also mapped the area immediately north of Tootsee South and confirmed the presence of the McDame limestone unit (which is the host unit for a majority of the Silvertip deposit to date), immediately north of the Tootsee River. CMC also completed a ground gravity survey in the south-central portion of the property including covering the Silverknife Prospect.

Interesting enough the results of this survey further served to refine the location of the gravity area in the Tootsee River area which is now better defined to occur north of the Tootsee River, remains coincident with conductivity anomalies and also with the occurrence of the McDame limestone unit. Due to access issues which have now been resolved, this area could not be drilled in 2023. However, it remains a prime target in 2024 and beyond in pursuit for the discovery of CRD deposits in the Rancheria Silver District.

Of particular note is that immediately north of the Tootsee North area is a known mineral occurrence (The Berg Prospect), which is known to show CRD style mineralization. Silverknife Prospect CMC completed 9 holes at the Silverknife Prospect. Previously CRD mineralization was identified in drilling campaigns completed in the mid 1980's by previous operators at the Silverknife Prospect which now extends westwards from the Silvertip mining tenure into CMC's Silverknife property.

CMC became interested in Silverknife initially due to this prospect where historical drilling was conducted in three distinct campaigns: 1985 (30 holes - 2,344.70 m), 1986 (3 holes - unknown metreage) and 1987 (17 holes -1,822.44 m) for a total of 50 holes totaling 4,167.14 m served to identify an historic and non 43-101 compliant resource of 362,880 tonnes with an undetermined grade but with weighted assay average values of 511 g/t Ag, 3.7 g/t Au, 12.5% Pb and 4.8% Zn. There were some interesting drill intercepts on the Silverknife property side during this drilling including: 87-35: 18.02 meters of 4.17 oz/t (146.2 g/t) silver, 1.67% lead and 3.02% zinc. 87-38: 9.99 meters of 5.36 oz/t (166.7 g/t) silver, 1.73% lead and 3.15% zinc. 87-40: 5.94 meters of 6.20 oz/t (192.8 g/t) silver, 3.47% lead and 3.65% zinc. 87-44: 3.66 meters of 7.52 oz/t (233.87 g/t) silver, 6.21% lead and 4.78% zinc. This year's drilling encountered Kechika Group limestones immediately overlying and in contact with the Cassiar batholith. The Kechika limestone is stratigraphically located deeper (approximately one kilometer or more) in the potential mineralizing system that created the Silvertip deposit but is thought to have significant potential to host CRD style mineralization.

CMC's drilling encountered several intersections of massive, semi-massive and disseminated mineralization comprising of lead-zinc sulfides. Subsequently, approximately 527 samples have been collected and submitted for assaying. Assay results are expected to be available in 6-8 weeks time.

Testing is being conducted for the presence of silver, lead, zinc, gold and critical minerals such as indium, germanium and gallium. Of particular note is that the Company also purchased and established a 20-person industrial camp that supported the 2023 exploration effort and will be utilized to support future exploration efforts at Silverknife and Amy. This was a significant investment in 2023 but it will serve to provide a safe and comfortable work environment for geological crews, drillers, other subcontractors and support staff which is a very important component of any exploration program.